India's New Government
Outlines Economic Policy

Congress Party Expects to Create
Annual GDP Growth of 7%-8%

By

Jay Solomon Staff Reporter of The Wall Street Journal

Updated May 28, 2004 12:01 a.m. ET

NEW DELHI -- India's new government, led by the Congress party, pledged in its policy manifesto to maintain economic growth at 7% to 8% a year while refocusing efforts on developing the country's rural and agricultural sectors.

The government of Prime Minister Manmohan Singh also said India needs "at least two to three times" its current level of foreign direct investment, and that it would seek to attract more investors for the technology, infrastructure and export sectors. But the government also said it would...